It could soon be easier for first-time buyers and the self-employed to get a mortgage
The people more likely to get a mortgage thanks to major changes
- The Financial Conduct Authority (FCA) plans to modernise mortgage rules to better reflect contemporary living, technological advancements, and evolving societal needs.
- The regulator's strategy focuses on four key pillars: supporting first-time buyers and underserved groups, enhancing later life lending, promoting innovation, and safeguarding vulnerable customers.
- Consultation on proposed rule changes is set to begin in early 2026, with initial amendments expected to be in effect by late the same year.
- The FCA will explore simplifying rules for more flexible products, encouraging technology like AI for advice, and reviewing repayment strategies to widen access for various borrowers.
- Earlier this year, the FCA clarified mortgage "stress test" rules, leading to 85 per cent of the market updating its approach and enabling first-time buyers to borrow approximately £30,000 more.